Tom and David work are salespeople that work in Prince George. Tom's sales area is the College Heights division and David sells in the Hart Division. Last year actual sales and budget are as follows: Year College Heights Division Budget Actual Variance Hart Division Budget Actual Variance 2021 $ 12,900 $ 12,500-$ 2020 $ 12,000 $ 15,000 $ 3,000 $14,000 $16,000 $2,000 400 $14,600 $16,200 $ 1,600 2022 $ 12,900 $ 13,000 $ 2019 $ 12,930 $ 2023 $ 13,041 $ 2024 13,300 $ 12,800 -$ 100 $ 15,080 $16,500 $ 370 $ 15,506 $ 16,700 $ 241 $ 15,864 $ 17,000 $ 1,420 1,194 1,136 Head office sets the budget each year. If actual sales exceed the budget, next year's budget is increased; if not, next year's budget is set to equal the prior year's budget. Required a. Calculate the 2024 budget for each division. b. Discuss the current approach to budgeting the company is taking and specifically discuss the approach with how the next year's budget is being set and the disadvantage in this case specifically for the College Heights Division. c. Tom is upset that his budget is always increased each year. Tom knows his clients well in the College Heights division and predicts that actual 2024 sales will be approximately $11,000 to $12,000. Identify one dysfunctional behaviour Tom may engage in. d. Discuss potential advantages the company could gain if they were to change to participative budgeting.